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The Chief Executive, Mr Tung Chee Hwa exchanged views with a group of Legislative Council Members on a wide range of issues which were of interest to these members today (Saturday).

The Chief Executive expressed concern on the current employment situation. He said he was fully aware of the impact of unemployment and salary adjustment on the community.

Mr Tung said, "The labour market has to undergo painful adjustment in order to maintain the competitiveness which is important for facing new challenges from the internal as well as the external markets.

"The Government is monitoring the economic situation of the local and overseas markets closely. We need to have a full picture of the situation in the region in order to grasp the latest development," he said.

"As a responsible government, we need to identify the problems that the community is facing. We shall then be in a position to introduce effective and timely measures and join hands with the community in tackling the problems," he said.

"The fiscal measures and package of economic stimuli announced in last February and June seek exactly to achieve this objective," Mr Tung added.

On education, Mr Tung said he attached great importance to school education. He said, "The recent recommendations to streamline the organisational structure and improve the management practice of the education authority are initiatives to devolve more authority with accountability to schools, and to enhance the quality of education.

"In the process of education reforms, our primary concern is to ensure effective management of changes. These reforms will entail a series of changes to all major participants in the education sector. It is important that all participants are well co-ordinated in achieving the different policy targets. This will be a great challenge for the Government, the education sector and the parents."

Mr Tung said, "I am working together with senior Government officials on the Policy Address, to be announced in October. We are exploring the future direction of development in various major policy areas, including technology and innovation.

"I am looking forward to the interim report to be prepared in September by the Chairman of the Commission on Innovation and Technology, Professor Tien Chang-Lin. The report will set out proposals on issues relating to the definition of high technology and its future development. The Chief Executive informed the Members that he expected to receive the report on long-term proposals from the Commission around April next year.

The Chief Executive also shared with Members his analysis of the future development of the economy, financial market and housing. Individual Members also conveyed to him concerns of their constituencies, including the industry, commerce and the labour sectors.

Mr Tung encourages Members to continue to forward their views to him on issues of their concern.

End/Saturday, August 1, 1998

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